Ludwig & Clarke: you guys make me crazy (-g-)
re: SGI: I've traded it unsuccessfully about 3 times since it was discussed here in '97. My congratulations to you, Ken Ludwig, for staying the distance through the MIPS divestiture. (I lost patience and lost money.) Your post here requires more meat, imo. To state that the company has "cutting edge" technology doesn't translate that the stock is undervalued. To state the any company has "excellent people" - that's a whole topic in itself vis. a vis. value stocks. Regarding beat up tech stocks (SGI in particular) where options may play a role in keeping talent, there will be some disagreement, imo, about the 'excellence' of the people who remain.
It seems to me, glancing at where you've been on SI, that you are not a value stock picker per se. (as posters on this thread might define value or as SGI might be a value stock). Therefore SGI might be the only "value" stock which you are holding now??? If so, then my opinion is that holding only SGI (even if it is a value stock) and no other value stocks is an error in portfolio management.
What spins me about is that it's not about what one doesn't own, it's about what one does own. So if SGI shoots up to 10, SGI owners are heroes.
My same opinion for Jim Clarke: EFII looks okay for a tech-wreck value stock. Looks like their Fiery engines that Xerox, Cannon have used will continue to be a part of both companies' important product lines. And even though EFII has now missed earnings (and cratered) twice, it "should" bounce back. But again, if in two years on SI this is the only tech wreck stock somebody's found and bought-- that's an error in portfolio management in my opinion. Forgetting the past with all the good tech value stock recommendations on this thread that were passed by, EFII is now no better than any of a number of other tech stocks that have been mentioned here recently. Imo, focussing on and owning only EFII in the tech/value category is a mistake.
Although, once again, maybe all it takes is one - EFII - to make a portfolio bloom. I tell myself and others (-g-) that it's what you ultimately own that counts, not what you don't own. Except.... sometimes where I/others never bought QCOM or AOL-- those never-boughts could have made a real difference, maybe all the difference to a portfolio's growth and performance.
Paul S |
